IGCSE Business Year 10 Lesson Slides PDF

IGCSE Business Year 10 Lesson slides Block 3: Week 1 commencing 04/11/2024 B3 W1 Lesson 1 Do now activity: Think about something you bought recently? What persuaded to you to buy it? An advert) A salesperson? Or perhaps a friend? Work on this individually, you have five minutes, be...

IGCSE Business Year 10 Lesson slides Block 3: Week 1 commencing 04/11/2024 B3 W1 Lesson 1 Do now activity: Think about something you bought recently? What persuaded to you to buy it? An advert) A salesperson? Or perhaps a friend? Work on this individually, you have five minutes, be prepared to share your answers. B3 W1 Lesson 1 Answers: No right or wrong answers, students are encouraged to share their experiences and ideas.  Year 10 Chapter 1 B3 W1 Lesson 1 Chapter 2 Chapter 3 In chapter 10 you will learn about: Chapter 4 Chapter 5 The role of marketing Chapter 10 Chapter 11 Why markets change and how businesses respond. Chapter 12 Chapter 13 Niche marketing and mass marketing. Chapter 14 Chapter 19 Market segmentation. Chapter 20 Chapter 21 Chapter 22 Chapter 23 Chapter 24 Chapter 25 Chapter 26 B3 W1 Lesson 1 Learning Objectives: Success Criteria: Chapter 10 – Marketing, competition and the I can identify the three main roles of marketing. customer The role of marketing Identifying and satisfying customer needs Maintaining customer loyalty Building customer relationships Coursebook ref: p.139 to 140 B3 W1 Lesson 1 The role of marketing More than just coming up with an idea for a product or service, making it and then selling it. Understanding what customers want, identifying or even predicting what they require. Producing exactly what the customers want. Satisfying customer requirements. Identifying and satisfying customer needs The difference between consumers’ needs and wants: - Basic needs of individuals are goods and services that are necessary for survival – water, food, clothing, shelter. - Things that individual would like but which are not essential, necessary to their survival. B3 W1 Lesson 1 The main role of marketing is to convert the wants of an individual to a need. Businesses often use promotional activities such as advertising to persuade consumers something they want is a need. Market research can be used to identify the needs of consumers. In turn, businesses need to decide if they are able to satisfy these needs by producing goods or services at a profit. Market research can also be used to check that the products or services satisfy consumer needs. Maintaining customer loyalty Without customers there is no business. Therefore, it is important for businesses to create a customer base. The business must then build customer relationships to maintain the loyalty of its customers to the business and its products. B3 W1 Lesson 1 Key term: Customer base: the group of customers a business sells its products to. Building customer relationships Once a customer base has been established, the marketing function must then aim to keep these customers. This is known as customer loyalty. Businesses often collect as much information as possible about each individual customer (such as income, lifestyle and buying habits). This information is then used to better identify and satisfy customers’ needs and carefully target individual customers with information about the firm’s products. B3 W1 Lesson 1 End of lesson checklist Do I know the three main roles of marketing? B3 W1 Lesson 2 Do now activity: Read the case study on p.140 – Developing customer loyalty in the African mobile (cell) phone market Working in pairs, complete tasks a, b and c. B3 W1 Lesson 2 Answers: a Taking raw materials and converting them into goods and services that can then be sold to customers. b Customer loyalty is when customers repeat purchase the business’s products. It is important to maintain sales and profits. Without a loyal customer base the business would not be able to survive. When markets are very competitive, like the mobile (cell) phone market, it is important for businesses to have loyal customers who will continue to buy their products rather than competitors’ products. Also easier to introduce new products into the market if there is strong customer loyalty and sometimes possible to charge slightly higher prices than those of competitors. c Important for a firm to meet the needs and wants of customers better than competitors do as this will increase sales and profits and customers will become loyal to that firm’s products. Carrying out research to identify what it is customers want from their mobile phone is a very good way of identifying customer wants and, once these have been identified, the firm can produce products to meet specific wants. If one firm does this better than competitors then customers will buy its product rather than those of competitors. Involving customers in the design stage is also a very good way or a mobile phone company to make sure that it is providing exactly what customers want. B3 W1 Lesson 2 Learning Objectives: Success Criteria: Chapter 10 – Marketing, competition and the I know what is meant by the terms ‘market’ and customer ‘target market’. Market changes I can explain the difference between consumer markets and industrial markets. What is a market? Different types of markets. Coursebook ref: p.140 to 141 B3 W1 Lesson 2 Market changes What is a market? Key terms: Market: all customers and consumers who are interested in buying a product and have the financial resources to do so. These consumers can be described as the ‘potential market’ for a product. Another definition is, “a place where buyers and sellers come together to buy and sell goods and services.” When a business decides to produce products for a particular group of customers, these consumers are known as the ‘target market’. B3 W1 Lesson 2 The term market can also describe the type of customer who the goods or services are sold to – the final customer or other businesses. Consumer markets – products sold to the final consumer, such as food, televisions and cars. Industrial markets – products sold to other business for use in the production process, such as machinery and equipment. Key terms: Target market: individuals or organisations identified by a business as the customers or consumers of its product. Customer: an individual or business that buys goods or services from a business. Business environment: the combination of internal and external factors that influence the operations of a business. B3 W1 Lesson 2 End of lesson checklist Do I know what is meant by the terms ‘market’ and ‘target market’? the difference between consumer markets and industrial markets? B3 W1 Lesson 3 Do now activity: Refer to Activity 10.3 on p.143. Working in pairs answer questions 1 to 3. You have ten minutes, be prepared to share your answers. B2 W4 Lesson 3 Answers: Students’ own answers, discuss and compare. B3 W1 Lesson 3 Learning Objectives: Success Criteria: Chapter 10 – Marketing, competition and the I know the main factors why consumer spending customer patterns change over time. Market changes Why consumer spending patterns change Coursebook ref: p.141 to 142 B3 W1 Lesson 3 Why consumer spending patterns change The business environment is one that is constantly changing, this means that the market for goods and services will also change over time. The amounts of money customers/consumers spend on buying goods and services is affected by a number of factors: The price of the product – in most cases, the higher the price, less quantity is sold – see figure 10.1 The price of competitors products – in competitive markets, if these prices are low customers buy more. Changes in consumer income – if incomes fall, products and services become less affordable. Changes in population size and structure – if these increase, overall demand will increase. Changes in tastes and fashion – trends make products and services more or less popular. Spending on advertising and other promotional activities – higher spending should increase demand. B3 W1 Lesson 3 End of lesson checklist Do I know the main factors why consumer spending patterns change over time? B3 W1 Lesson 4 Do now activity: Refer to Activity 10.2 on p.143. Read the case study, working in pairs identify the factors that affect the spending by consumers on footwear products produced by ABC. You have ten minutes, be prepared to share your answers. B3 W1 Lesson 4 Answers: Answers should identify and develop the following factors: product quality quality of service fashion consumer income competitor actions B3 W1 Lesson 4 Learning Objectives: Success Criteria: Chapter 10 – Marketing, competition and the I know why it is important for businesses to customer respond to changing customer needs. Market changes I can explain why some markets become more competitive. Changing customer needs Why some markets become more competitive Coursebook ref: p.143 to 144 B3 W1 Lesson 4 Changes in customer needs If a business is to survive in the long run, it has to respond to changes in customer needs. It is easy to see how and why a business that produces and sells fashion items such as clothing must constantly identify and satisfy the changing needs of its customers. The other factors identified in our last lesson (and in our analysis of the case study at the beginning of this lesson) also influence consumer spending and are also important considerations. B3 W1 Lesson 4 Why some markets become more competitive Most markets are competitive, but some markets are more competitive than others because of several reasons: Government intervention in markets – governments can affect competition in markets through: Legal controls such as laws to prevent anti-competitive behaviour. Selling off public sector organisations to the private sector. Deregulation – the removal of government controls e.g. the deregulation of postal services. Providing financial and other assistance to small and medium sized enterprises. Growth of free trade between countries – regional free trade agreements remove or reduce barriers. Key term: Free trade: no barriers exist that might prevent trade between countries. B3 W1 Lesson 4 Development of e-commerce and social media networks – many businesses have developed their own websites and use these to sell their goods to customers in other regions of their own country and to customers in other parts of the world. The development of e-commerce has increased the size of a business’s market but it has also greatly increased the level of competition in that market. Social media network sites can be used by businesses to promote their products, consumers now have much more information about different products. Leading to greater consumer choice and increased competition within the marketplace. B3 W1 Lesson 4 End of lesson checklist Do I know why it is important for businesses to respond to changing customer needs? why some markets become more competitive? B3 W1 Lesson 5 Do now activity: Refer to figure 10.2 on p.145. Draw the diagram in your notebooks. B3 W1 Lesson 5 Learning Objectives: Success Criteria: Chapter 10 – Marketing, competition and the I know several actions a business can take to customer respond to changing spending patterns and increased levels of competition. Market changes How businesses respond to changing spending patterns and increased competition Coursebook ref: p.144 to 145 B3 W1 Lesson 5 How businesses respond to changing patterns and increased competition If businesses do not respond to these, they are unlikely to survive. There are a number of actions that businesses can take including the following: Product development – information from market research can be used to develop new products to satisfy the changing needs and wants of consumers, helping a business to remain competitive. Improve efficiency – reducing costs can enable a business to lower its prices, making it more competitive. Increased promotion – improving awareness of the product or using promotional techniques such as buy- one-get-one-free can make a product more attractive to consumers and increase sales. Look for new markets – the better option might be to explore opportunities in new/different markets where there is less competition and where consumers are more likely to buy the product. For each of these actions, think of some real-life examples, be prepared to share your ideas and discuss. B3 W1 Lesson 5 End of lesson checklist Do I know the actions a business can take to respond to changing spending patterns and increased levels of competition?